Microsoft's 2024 Fiscal Year Report Strong Revenue Growth but Stock Falls
TapTechNews July 31st news, Microsoft Corporation announced the report of fiscal year 2024 fourth quarter (second quarter, ending June 30), with total revenue of $64.73 billion (TapTechNews note: currently about $470.125 billion RMB), an increase of 15% year-on-year; net profit of $22.04 billion (currently about $16.0074 billion RMB), 10% higher than the same period last year ( $20.08 billion).
TapTechNews attached the main data of fiscal year 2024 fourth quarter as follows:
Revenue is $64.7 billion, an increase of 15% (16% increase when calculated at constant currency).
Operating income is $27.9 billion, an increase of 15% (16% increase when calculated at constant currency).
Net income is $22.0 billion, an increase of 10% (11% increase when calculated at constant currency).
Earnings per diluted share is $2.95, an increase of 10% (11% increase when calculated at constant currency).
Microsoft Chairman and CEO Satya Nadella said:
Our strong performance this fiscal year demonstrates both our innovation and the trust of our customers in Microsoft.
As a platform company, we focus on meeting the mission-critical needs of our customers through our current large-scale platforms while ensuring that we lead the arrival of the AI era.
Microsoft Executive Vice President and Chief Financial Officer Amy Hood said:
We ended this fiscal year with a solid quarter, with the highlight being a record booking volume and the quarterly revenue of Microsoft Cloud of $36.8 billion, an increase of 21% year-on-year (22% increase when calculated at constant currency).
Business highlights:
Productivity and Business Processes Division
The revenue of the Productivity and Business Processes Division is $20.3 billion, an increase of 11% (12% increase when calculated at constant currency), and the business highlights are as follows:
The revenue of Office commercial products and cloud services increased by 12% (13% increase when calculated at constant currency) driven by the growth of Office 365 commercial revenue by 13% (14% increase when calculated at constant currency).
The revenue of Office Consumer products and cloud services increased by 3% (4% increase when calculated at constant currency), and the number of Microsoft 365 Consumer users increased to 82.5 million.
The revenue of LinkedIn increased by 10% (9% increase when calculated at constant currency).
The revenue of Dynamics 365 increased by 19% (20% increase when calculated at constant currency), driving the growth of Dynamics products and cloud services by 16%.
Intelligent Cloud Business
The revenue of the Intelligent Cloud Business is $28.5 billion, an increase of 19% (20% increase when calculated at constant currency), and the business highlights are as follows:
Driven by the growth of Azure and other cloud services revenue by 29% (30% increase when calculated at constant currency), the revenue of server products and cloud services increased by 21% (22% increase when calculated at constant currency).
More Personal Computing Business
The revenue of the Personal Computing Business is $15.9 billion, an increase of 14% (15% increase when calculated at constant currency), and the business highlights are as follows:
The revenue of Windows increased by 7% (8% increase when calculated at constant currency), among which the revenue of Windows OEM increased by 4% and the revenue of Windows commercial products and cloud services increased by 11% (12% increase when calculated at constant currency).
The revenue of devices decreased by 11% (9% decrease when calculated at constant currency).
Mainly due to the 58-point net impact brought by the Activision acquisition, the revenue of Xbox content and services increased by 61%.
The revenue of search and news advertising (excluding traffic acquisition costs) increased by 19%.
2024 Fiscal Year Total Report
Microsoft Corporation today announced its fiscal year results as of June 30, 2024, compared with the same period in fiscal year 2023:
Revenue is $245.1 billion, an increase of 16% (15% increase when calculated at constant currency).
Operating income is $109.4 billion, an increase of 24%, and non-GAAP increase of 22% (21% increase when calculated at constant currency).
Net income is $88.1 billion, an increase of 22%, and non-GAAP net income increase of 20%.
Earnings per diluted share is $11.80, an increase of 22%, and non-GAAP increase of 20%.
Market Feedback
Microsoft's stock price fell by more than 7% in after-hours trading, and Yahoo Finance believes that the main factor is that the AI and cloud businesses failed to meet the market expectations.